The index is holding above the previous swing low of 39500 level - Axis Securities
Follow us Now on Telegram ! Get daily 10 - 12 important updates on Business, Finance and Investment. Join our Telegram Channel
https://t.me/InvestmentGuruIndiacom
Download Telegram App before Joining the Channel
Nifty
Nifty opened on a flat note and witnessed extreme volatility on either side for most part of the session. Nifty closed at 17304 with a loss of 89 points.
On the daily chart the index has formed a small Bearish candle with shadows on either side indicating indecisiveness amongst participants regarding the direction. The index continues to move in a lower top and lower bottom formation on the daily chart indicating negative bias. The chart pattern suggests that if Nifty crosses and sustains above 17400 level it would witness buying which would lead the index towards 17500-17600 levels. Important Support for the day is around 17200 However if index sustains below 17200 then it may witness profit booking which would take the index towards 17100-17000 levels. Nifty is trading below 200 day SMA indicating negative bias in the short term. Nifty continues to remain in an uptrend for the medium term, so buying on dips continues to be our preferred strategy
The daily strength indicator RSI is moving downwards and is quoting below its reference line indicating negative bias.
The trend deciding level for the day is 17335. If NIFTY trades above this level then we may witness a further rally up to 17410-17520-17595 levels. However, if NIFTY trades below 17335 levels then we may see some profit booking initiating in the market, which may correct up to 17225-17150-17040 levels.
Banknifty
Banknifty opened on a flat note and remained in a small range throughout the day. Banknifty closed at 40269 with a loss of 38 points..
On the daily chart the index has formed a small bearish candle with shadows on either side representing extreme volatility as well as indecisiveness amongst participants regarding the direction. The index is holding above the previous swing low of 39500 level indicating support zones. The chart pattern suggests that if Nifty crosses and sustains above 40400 level it would witness buying which would lead the index towards 40500-40700 levels. Important Support for the day is around 40150 However if index sustains below 40150 then it may witness profit booking which would take the index towards 40000-39900 levels. Banknifty is trading above its 200 day SMA which indicates positive bias in the medium term. Banknifty continues to remain in an uptrend in the medium and long term, so buying on dips continues to be our preferred strategy.
The daily strength indicator RSI continues to remain flat and is above its reference line indicating absence of momentum on either side
The trend deciding level for the day is 40245. If BANK NIFTY trades above this level then we may witness a further rally up to 40415-40565-40735 levels. However, if BANK NIFTY trades below 40245 levels then we may see some profit booking initiating in the market, which may correct up to 40100-39925-39780 levels.
To Read Complete Report & Disclaimer Click Here
For More Axis Securities Disclaimer https://simplehai.axisdirect.in/disclaimer-home
SEBI Registration number is INZ000161633
Views express by all participants are for information & academic purpose only. Kindly read disclaimer before referring below views. Click Here For Disclaimer
